Bola Ahmed Tinubu, the president of Nigeria, has expressed his support for the recently established African Credit Rating Agency (AfCRA).
Addressing biases in global rating agencies
President Tinubu also mentioned the capacity of the agency to offer more fair and transparent credit assessments for African economies. In an effort to combat biases by international rating agencies, the African Union announced the establishment of AfCRA on Friday.
President Tinubu praised the Specialized Technical Committee (STC) on Finance, the African Union (AU), and the African Development Bank (AfDB) for their innovative leadership in promoting an African framework for member state development financing.
In a statement, President Tinubu’s special adviser on information and strategy, Bayo Onanuga, said, “An independent African-led rating agency will help provide fairer assessments of African economies and reduce the bias often observed in existing global rating agencies.”
The importance of the Africa Financing Stability Mechanism
President Tinubu praised the Specialized Technical Committee on Finance’s 5th Extraordinary Session, which took place in November 2025 in Abuja, Nigeria, and made major decisions. As the continent continues to face major obstacles, such as growing borrowing costs, debt overhang, low domestic resource mobilization, and restricted access to long-term affordable financing, Tinubu underlined the importance of the Africa Financing Stability Mechanism (AFSM).
The establishment of the AFSM underscores the collective commitment of member states in addressing financial vulnerabilities and fostering economic resilience across the continent, he added. According to him, “It is anticipated that member states’ adoption of the AFSM will improve financial stability, fortify resilience against external shocks, and offer a more coordinated approach to managing financial risks across the continent.”
Africa Credit Rating Agency Mission: Fair, Transparent, and Development-Focused Ratings
The formation of the African Credit Rating Agency (AfCRA) is a significant step in reaffirming Africa’s stance on global financial governance as the continent continues its journey towards resilience and economic integration, according to Ethiopia’s ENA news agency. AfCRA aims to provide credit ratings that are fair, transparent, and development-focused, reflecting the potential and realities of African economies.
About Africa Credit Rating Agency
This is a continental initiative that aims to give corporates, sovereigns, and sub-sovereigns independent, reliable, and African-owned credit ratings. It will give the continent the chance to have a credit rating system that more fairly represents its creditworthiness and takes into account its distinct socioeconomic realities. AfCRA was formed in response to worries about the alleged biases, errors, and exorbitant fees of using foreign credit rating agencies to evaluate African nations. The goal of AfCRA is to supplement the three international credit rating agencies by offering a different viewpoint, not to compete with or replace them.
AfCRA is scheduled to formally launch in June 2025, and strict rules to avoid conflicts of interest will underpin the strong institutional framework that will oversee AfCRA. Partnerships with reputable organizations and oversight procedures will increase its legitimacy even more. AfCRA incorporates region-specific data and socioeconomic indicators and, in comparison to conventional credit rating agencies, focuses solely on African economies.
.){kind=link}